RAMSEY CROOKALL & CO 29th  March 2012

Morning Report

European stock markets were trading slightly lower Thursday, as mixed readings of recent economic data prompted investors not to build exposure to equities and instead wait for further releases for fresh direction.

Miners were performing early on, rebounding after their recent underperformance which has seen the sector lose an average 11.7% over the last month. Rio Tinto, Polymetal, Fresnillo, Evraz and BHP Billiton were making gains in the opening hour with Rio leading the charge after revealing yesterday afternoon that it has received a binding offer for its specialty aluminas business from HIG. Even Anglo American edged higher, shrugging off a downgrade from Societe Generale.

Cigarettes maker Imperial Tobacco was also a high riser after saying it improved its revenue and profit momentum as it entered the second half of its financial year. First half reported tobacco net revenues (at constant exchange rates) are expected to increase by around 3%, compared with the 1% fall in the three months to the end of December.

High street retailing peers Marks & Spencer and Nex  have fallen after first-quarter numbers from the world's third-largest clothes retailer, Hennes & Mauritz (H&M), missed estimates. Elsewhere in the sector, shares in Home Retail fell after the company announced that its long-standing Chairman, Oliver Stocken, is to retire after 12 years on the job.

Real estate investment trust Land Securities edged higher after saying that is to sell its 3.3 acre Arundel Great Court property, situated just south of the Strand, in London for£234m, which "frees up capital for reinvestment into other higher value-add opportunities," according to Jefferies.

THE FTSE 100 @ 10:00              Down             24          @      5,784 THE DOW JONES closed              Down             71      @    13126 THE NASDAQ closed                Down             15          @    3104

Exchange Rates

GBP – USD       @      10:00                                                      1.5917 GBP - EURO     @      10:00                                                      1.1946